Thursday, March 31, 2016

British Government Ready To Extend Support To Tata

Tata Steel exit: UK ‘doing everything it can’ to save jobs, David Cameron says-Times of India 01.04.2016British Prime Minister David Cameron assured the nation that his government is "doing everything it can" to save some 20,000 jobs at Tata Steel, but warned there were "no guarantees of success" after India's steel giant decided to sell its loss-making UK businesses.

Cameron, who cut short his Easter break in Spain and rushed to London to chair a crisis meeting of the cabinet following Tata Steel's decision, said nationalisation was not the answer but the government was "not ruling anything out".

Cameron said the threat of thousands of job losses was "very difficult" and that his government would do "everything it can" but warned there were "no guarantees of success".

"This industry is in difficulty right across the world. There's been a collapse in prices, there's massive overcapacity," he told reporters after the cabinet meeting.

I have quoted a few lines of news which has appeared in prominent newspaper Today . These lines are enough to speak how much British Government is serious to save jobs for their citizen. It says how serious government is in protecting industrial units which creates job opportunities for unemployed youths and which saves British govrnment huge money which otherwise has to be paid to unemployed families as per their laws.In India , opposition parties use to curse government if it goes to help a sinking company. I however feel that every government should very closely monitor the activities of private sector entrepreneurs as they are supposed to monitor government controlled entities. Government must stop misuse of government fund by private sector industrialists and must stop exploitation of freedom by private business houses. But in case of unavoidable circumstances if a private industry become weak and there is a threat of loss of jobs for many employed persons, it is the duty of conscious government to provide such entities all possible help under the laws of the land. For example, I do not hesitate in saying here that if private banks are not controlled and monitored properly, these private banks will prove more disastrous than PSU banks in near future.Kejriwal and Rahul usually abuse Modi saying that Modi government is pro-corporate.It is the duty of each government to provide all infrastructure support to private business houses so that they may carry out their activities related to manufacturing and the may continue to create more and more job opportunities for unemployed youth.It is rich people who can afford running of various high value industries. Government cannot run all industries and cannot do trading activities. Rather ,it is duty bound to create such an environment that new entrepreneurs come forward to establish new industries providing jobs to job seekers. Government run public sector entities should provide competition to private sector units . But unfortunately due to dirty politics and large scale corruption in PSUs , it is private sector which flourish by leaps and bounds and on the other hand , PSUs slowly and gradually become weak, dormant and bankrupt.It is remarkable to mention here that poor people cannot do business due to their poverty. Rich people will not be allowed by opponents of government to do business . Government cannot do business because of corruption. Then , million dollar question is who will do business and who will produce goods of necessity. Duty of the government is not to do business but to regulate business and in some case compete with private business houses to keep prices of commodities reasonable and within the reach of common men. Our governmnt and leaders of opposition parties should understand how British government gives value to job creators, how American Government give value to talent youth working in America and how other developed countries prefer appointing Indian talent. It is painful that Indian talent do not get proper respect and recognition of their quality in their own country , but get huge and warm welcome in foreign companies .India will grow rapidly and consistently only if we are able to sustain our talent for use in India and stop crying on reservation. Government should however make all efforts and give full financial support to backward class people so that they may develop skill and talent and become useful asset in our country. The more we create quality people , the more there is scope of uniform growth of the country .

Tata Steel, which operates Britain's biggest steel plant at Port Talbot in south Wales, is losing 1 million pounds ($1.4 million) a day in its UK operations. A sale or restructuring would likely involve heavy job losses.

Tata Steel, one of the flagships of the over $100 billion Indian conglomerate Tata Group, said it has decided to "explore all options for for portfolio restructuring including the potential divestment of Tata Steel UK, in whole or in parts" amid a "deteriorating financial performance of the UK subsidiary in the last 12 months".

The Board of Tata Steel decided on Tuesday to decide on the future course of action in a bid to steer its embattled operations in Europe out of the rut, which face supply glut, increase in cheap imports from China amidst a continued weakness in demand in the European markets.